India and Bhutan

• 
  Intro: PM Modi: no two countries in the world understand each other so well or share so much as India and Bhutan."
• Treaty of friendship 1949 that was revised in 2007 forms the basis of relationship of the two nations.

• Importance-
• India’s most successful bilateral relationship
• Chumbi valley
• Buffer state
• Contain insurgency in NE
• Boycotted BRI

• Cooperation:

• India is Bhutan’s largest trading partner
• Recently Modi inaugurated the mangadechhu project of 700MW ,
• Kholongchu 600MW joint venture of India and Bhutan
• India launched use of Rupay card in Bhutan to improve people to people contacts
• Acc to UN convention, landlocked countries to be given only 2 ports of access, India has given unlimited access to all ports.
• India’s continuous contribution in Bhutan's five year plans.
• India is Bhutan's largest trading partner
• India’s assistance to Bhutan during Doklam crisis shows India's seriousness for Bhutan's sovereignty.
• India has proposed to build a road in Bhutan’s ‘Yeti territory’ — which China claimed recently — enabling New Delhi to quickly access Tawang in Arunachal Pradesh. The road, which has strategic significance, will reduce the distance between Guwahati and Tawang by 150 Kilometres
• India and Bhutan are the only countries who have refused to endorse the Chinese BRI.
• India provides training to Royal Bhutanese army

• challenges:

• India needs to broaden economic base of relationship from only focusing on Hydroelectricity projects

• India pushing for motor vehicles agreement for BBIN but Bhutan reluctant due to environmental issues.
• late implementation of projects leads to cost overruns and increases debt of Bhutan

• Conclusion-Bhutan gives the best platform for India to set example to other neighbouring countries by showing how India respects small nations sovereignty , supports nations through fair trade, aid and connectivity.